Wendy's International Inc. and Ireland's Iaws Group PLC are building a $115 million bakery in Ontario in a joint venture to expand baked goods available to Tim Hortons outlets.

The Toronto Star
March 7, 2001

Wendy's plans bakery in Ontario

DUBLIN, Ohio (AP-CP) - Wendy's International Inc. and Ireland's Iaws Group PLC are building a $115 million bakery in Ontario in a joint venture to expand baked goods available to Tim Hortons outlets.

Wendy's said yesterday it expects the partnership to produce more fresh products for customers at the more than 2,000 Tim Hortons stores owned by the U.S. fast-food giant in Canada and the United States.

Iaws is the parent of food-service company Cuisine de France, which will provide Tim Hortons with baguettes and specialty breads, such as sun-dried tomato and sourdough, beginning in late 2002.

The two companies will build a bakery in an unidentified community in southwestern Ontario, which will produce and distribute partly baked goods to Tim Hortons. Employees in the chain, which has 1,900 restaurants in Canada and 120 in the United States, will complete the baking in the stores.

As well, the bakery will distribute products to Cuisine de France outlets in the United States.

The $75 million (U.S.) startup cost for the bakery will be split between Wendy's and Iaws.

As the operation expands, the investment could reach $225 million, Wendy's said.

In yesterday's trading on the New York Stock Exchange, Wendy's shares were down 38 cents (U.S.) at $24.29.